In volume terms GDP increased by 0.3% in the December quarter. GDP per capita was flat, GDP per hour worked in the market sector fell by 0.4% and real net national disposable income grew by 0.1%.

SEASONALLY ADJUSTED ESTIMATES

In volume terms GDP increased by 0.1% in the December quarter. Non-farm GDP grew by 0.2%.

On the expenditure side the increase in GDP was driven by growth in total private business investment (+0.8 percentage points), and total final consumption expenditure (+0.5 percentage points). These were offset by negative contributions from net exports (-0.6 percentage points), changes in inventories (-0.6 percentage points) and private gross fixed capital formation on dwellings (-0.2%).

On the production side there were small positive contributions from a number of industries, with three industries (construction, retail trade and property and business services) detracting from GDP growth.

NOTES

REVISIONS IN THIS ISSUE

In the compilation of the December quarter accounts, more up-to-date source data has caused revisions to estimates, particularly for the previous five quarters. In addition, a number of series have been seasonally reanalysed. The main revisions are as follows:

On the expenditure side of GDP, new machinery and equipment, non-dwelling construction and dwellings were revised due to both updated source data and seasonal reanalyses. Public gross fixed capital formation and a number of components of HFCE were revised due to a seasonal reanalysis.

On the production side of GDP revisions were made to agriculture due to the incorporation of preliminary results from the 2003-04 Agriculture Survey.

On the income side of GDP the gross mixed income of unincorporated enterprises was revised due to the incorporation of preliminary results from the 2003-04 Agriculture Survey.

FEATURE ARTICLE

A feature article that discusses the terms of trade and the national accounts has been released on the ABS web site <http://www.abs.gov.au> concurrently with the release of this publication.

To access this article on the ABS web site select: Themes - Economy - National Accounts - Articles and research papers - 5206.0.